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HomeMy WebLinkAbout2019-02-26-AC-min 02/26/2019 AC Minutes Minutes Town of Lexington Appropriation Committee(AC) February 26, 2019 Place and Time: Ellen Stone Room, Cary Memorial Building, 7:30 p.m. Members Present: Glenn Parker, Chair; Sanjay Padaki, Vice-Chair; Alan Levine, Secretary; John Bartenstein; Ellen Basch; Eric Michelson; Richard Neumeier;Nick Nichols; Lily Manhua Yan; Carolyn Kosnoff,Assistant Town Manager, Finance (non-voting, ex officio) Members)Absent: None Other Attendees: Jim Malloy, Town Manager The meeting was called to order at 7:38 p.m. Announcements and Liaison Reports Mr. Neumeier reported on two employment opportunities listed in the Massachusetts Lawyers Weekly, February 11, 2019 and February 25, 2019 respectively, as follows: • City of Newton: Assistant City Solicitor (general and school litigation); Salary: $90,000-$98,000 • City of Marlborough, Assistant City Solicitor; Salary: $91,460.70-$102,999.60 plus benefits Mr. Padaki reported that the Ad hoc Crematory Study Committee had not yet taken a position on whether to recommend building a crematory at Westview Cemetery; it is still collecting information on operating and capital expenses associated with doing so. It had, however, voted on three recommendations for the Board of Selectmen (BoS)related to a potential future recommendation to add a crematory to the Westview Cemetery maintenance building that is included in the warrant for the 2019 Annual Town Meeting (ATM), as follows: • A crematory viewing area should accommodate up to 25 people. (Vote: 5-1 in favor) • A crematory should accommodate one to two retorts. (Vote 6-0 in favor) • The design for the Westview Cemetery maintenance building should be modified to make it ready for adding a crematory, should funding for such be appropriated at a future date. Modifications would mostly involve utilities. (Vote 6-0 in favor) Mr. Padaki added that the BoS voted 3-1 to accept those recommendations; Selectman Joe Pato preferred postponing the whole project until the question of a crematorium is resolved. Discussion with Town Manager Mr. Malloy reviewed his experience in municipal government over the past 25 years and noted that he has always worked closely with the relevant finance committees to create fiscal policies that support financial stability. The subsequent discussion included, but was not limited to, the following: • Taxing-to-the-max and how it impacts the need for Proposition 2'/2 overrides; • Building reserves and levy capacity; • Funding Other Post-Employment Benefits; • Personal property tax—its fluctuations and the importance of disclosure about its use; • Lexington's split between residential and commercial tax revenue; • Funding for a new or renovated high school and the impact on the tax rates; 1 02/26/2019 AC Minutes • Use of and additions to the Capital Stabilization Fund; • The impact of State prevailing wage laws on construction costs; • The need to manage growth in operating costs, recognizing that the school department represents approximately 70% of the total non-shared budget; • The need to prioritize and space out significant capital projects; • The use of free cash, particularly for operating expenses. Mr. Malloy reported that, in an effort to address long term consistency and reliability, he plans to draft some comprehensive and conservative fiscal policies with Ms. Kosnoff after the 2019 ATM. This Committee was supportive of having a brainstorming session to explore methods for addressing both operating and capital needs and to review current policies and practices to ensure practicable approaches to financing the Town's needs. May 15, 2019 was identified as the likely date for a potential post-ATM summit proposed by the Board of Selectmen to discuss policies on OPEB funding, the recognition of personal property"new growth," and taxation at the levy limit. AC Report to the ATM It was agreed to invite someone from the School Department to come and review the school budget before text on the school budget is prepared for this Committee's report to the ATM. Minutes It was noted that Ms. Arnold had distributed the February 21, 2019 draft minutes earlier in the day; they are still being reviewed. The meeting adjourned at 9:40 p.m. Respectfully submitted, Sara Arnold Approved: March 7, 2019 Exhibits • Agenda,posted by Mr. Parker, Chair • Summary of Discussion at 2/21/2019 Ad Hoc Crematory Study Committee Meeting RE: Westview Cemetery Building- Ad Hoc Committee Recommendations 2